Thanks
The stock went public again in 2021 so prior year comparables are not so helpful, but it is certainly at a new low. Net debt is $780M, vs 12-month cash flow $199M. Debt is certainly high. But interest expense runs about $31M, so well covered by cash flow. Dividend payout is less than 20%. PET does not NEED to cut its dividend, but if business conditions deteriorate it could decide to anyway. Growth has slowed, and a weak consumer and higher fuel costs have caused margins to take a hit. With this, and its small size, and some broker target price cuts, are likely to keep investors away for some time still. Consensus still calls for some earnings growth this year, but it needs to deliver on this. The stock is cheap at 11x earnings, but it is likely to become a value trap this year without a big rebound in fundamentals, which seems unlikely.